her job over comments that sounded racist. the naacp saying it was snookered at first but has now heard the whole tape. it's capped but is it stable? bp's ruptured well now leaking oil in five places raising concerns that it might buckle under the pressure. just to makes things more nerve-racking today, a storm may be headed into the gulf of new developments in the shirley sherrod case coming to mexico. us from the white house. we'll take you live to the the president initially had coast. the senate clears the way supported secretary vilsack's for your honor employment checks decision to ask for her to resume. it's welcome news for millions of americans whose benefits have resignation. been running out. however, an official tells cnn president obama praising the this morning we are not sure what the ultimate result will be extension but is it really good for the economy and the but it is clear that with new unemployed? information through the full the "a.m. fix" blog is up and running. speech, which is now out there, join the live conversation right a longer look needed to be now, go to cnn.com/amfix. taken. the white house contacted the department of agriculture last night about the case and agreed first though a stunning that based on new evidence that twist in a story that's once again brought the sensitive it should be reviewed. state of race and politics to the surface in this country. the white house official told cnn the president obama had been it now sounds like agriculture fully briefed after secretary department official shirley vilsack's original decision. sherrod could get her job back. it looks as though much of the

it was just 24 hours ago when we official washington now taking a first gave her the chance to big 180-degree turn coming back defend herself right here on this show. and saying maybe the original many were branding her a racist after a conservative website decision wasn't made considering released an unedited tape of all the facts. >> when we talked to shirley sherrod earlier this morning she comments she made back in march. >> comments that sounded bigoted told us even if she was offered the job back she doesn't know if when taken out of context, she will take. comments that cost her her job, >> it she thinks the well has comments that cost her her been poisoned too much. reputation. but now the whole tape is out, you can see her. 2.5 million americans are the whole story is out, and so closer to getting their jobless is the whole truth. benefits restored. cnn's joe johns has the whole story for us. yesterday the democrats with the help of two republicans voted to >> reporter: john, kiran, this is a story about race and end debate on the bill and the politics and america's history house is expected to approve in the south, a story of the that extension. >> this is no cheesy magic personal journey of shirley trick. sherrod, a top-ranking a california teen pulled off agriculture department official what many think is impossible in the state of georgia who gave trading an old iphone for a a speech to the naacp a few porsche. how did the 17-year-old do it? man >> it started two years ago when months back, made personal disclosures about whether she was going to help a white farmer stephen ortiz traded the old cell phone for an ipod. who came to her for help decades i don't know how that happened. ago. excerpts from a speech got posted on a conservative unless somebody needed his old website. the whole thing went viral. phone model. before you know it shirley he acquired a dirtd bike. sherrod's box, the agriculture

traded in a laptop for a toyota secretary, had asked for her 4-runner. resignation. few trades later, a 1975 ford her says the excerpt of the tape was taken out of context, that she's not a racist and that she bronco. unless -- no. treated the white farmer in her i don't know. a bronco he ended up trading for story fairly. >> i did not discriminate the porsche. what's next for ortiz? against him, and in fact i went let's listen. all out, i had to franticly look >> i was thinking about selling this and buying a house for my for a lawyer at the last minute parents. you never know. that or maybe another truck. because the first lawyer we went we will have to wait and see. to was not doing anything to >> excite being the 1975 ford really help him. bronco. in fact, that lawyer suggested >> i still don't know why somebody would trade a 2000 they should just let the farm go. all of that process -- that's boxter for a bronco. why i tell it, because highly collectible bronco. everything that happened in dealing with him -- he was the first white farmer who had come building up america. to me for help. kids in mississippi rebuilding their communities after everything that i did working hurricane katrina. with him helped me to see that tom foreman jumps aboard. it wasn't about race. it's about those who have and [ male announcer ] if you have type 2 diabetes, those who don't. >> reporter: as the turns out, the farmer and his wife, roger and eloise spooner, are on sherr sherrod's side and became good friends with her telling cnn shirley sherrod was a big help

to them when they were in financial trouble. >> she put us in touch with the lawyer that knew what to do and he helped us save our farm. >> she went with us. she went with us in our car. she asked us did we want her to go. and we definitely wanted her to go. and i don't know what brought up the race issue in this. >> reporter: perhaps the thing you struggle to control your blood sugar. that added gasoline to the fire you exercise and eat right, in this case was sherrod's but your blood sugar may still be high, assertion that the white house run by, of course, the first and you need extra help. black president was somehow involved in asking for her ask your doctor about onglyza, a once daily medicine resignation. it is pretty evident that this used with diet and exercise to control high blood sugar case could become a political problem for the democrats in an in adults with type 2 diabetes. election year if someone had not adding onglyza to your current oral medicine acted decisively to try to put it to rest. when the department of may help reduce after meal blood sugar spikes agriculture called her for her and may help reduce high morning blood sugar. resignation, she says they told her the white house itself [ male announcer ] onglyza should not be used wanted it. >> they asked me to resign, and to treat type 1 diabetes or diabetic ketoacidosis. tell your doctor if you have a history in fact they harassed me as i or risk of diabetic ketoacidosis. was driving back to the state onglyza has not been studied with insulin. office from west point, georgia using onglyza with medicines such as sulfonylureas

yesterday. i had at least three calls telling me the white house may cause low blood sugar. wanted knee resign. some symptoms of low blood sugar are shaking, >> reporter: the secretary of sweating and rapid heartbeat. agriculture, tom vilsack, however told us that just wasn't call your doctor if you have an allergic reaction like rash, the case, that it didn't matter hives or swelling of the face, mouth or throat. ask your doctor if you also take a tzd whether shirley sherrod felt she was taken out of context, what as swelling in the hands, feet or ankles may worsen. mattered is what she was blood tests will check for kidney problems. captured on videotape saying. >> i didn't speak to anybody in the white house. when i saw the context of the you may need a lower dose of onglyza if your kidneys are not working well statements i determined that it would make it difficult for her or if you take certain medicines. to do her job as a real [ male announcer ] ask your doctor development director and it about adding onglyza. would potentially compromise our extra help. extra control. capacity to close the chapter on civil rights cases. you may be eligible i didn't want anything to to pay $10 a month with the onglyza value card program. jeopardize her job in terms of getting people to work in georgia and i certainly didn't want us to have a controversy making it more difficult to turn the page. so i made this decision, it is my decision. nobody from the white house contacted me about this at all. >> reporter: in fact, last night a white house official confirmed to cnn that after vilsack made his decision monday, president obama was briefed on it, fully supported the secretary's demand for sherrod's resignation. so here we have another story about how unforgiving washington

can be to political office holders and appointees who make personal disclosures that get blown out of proportion. joe johns, cnn, washington. again, a new development overnight. secretary vilsack is now saying he'll take another look at the facts surrounding the department's decision to drop shirley sherrod after learning more about what she said. also, sherrod herself released a statement overnight saying, "among other things, they finally realized it. this is what i've been asking for, this entire time." the department wasn't the only one quick to react. the naacp of course also apologized to sherrod in a statement released yesterday, president ben jealous said with regard to the initial media coverage of the resignation of usda official shirley sherrod, we have come to the conclusion we were snookered by fox news ♪ and tea party activists into believing she had harmed white farmers because of racial bias. >> jealous goes on to say in the statement, having reviewed the no place, maybe not even new full tape, spoken to miss

sherrod, and most importantly orleans had a longer road back heard the testimony of the white from katrina than waveland, farmers mentioned in this story, we now believe the organization miss. that edited the documents did so the coastline was nearly wiped off a map by a 30-foot wall of with the intention of deceiving millions of americans. next time we are confronted by a water. >> they are weathering recession and the oil spill and believe it racial controversy broken by fox or not, stronger. news or their allies in the tea party, like mr. breitdart we tom foreman is live in waveland this morning. >> reporter: good morning. you are both absolutely right will consider the source. >> ben jealous tried to explain about this. this place was hammered by katrina. they lost all of their his actions initially last night. businesses, almost all of their listen. >> in this line of work where we homes. and places like this are so a are called o respond to video reminder how bad it was. evidence all the time, make very but through it it all, they quick judgments. we made a quick set of calls. focused on one group of citizens that owned almost nothing of any it was late at night. our statement came out at 1:00 a.m. that we were dealing with this, real value except the key to we woke up some people in georgia. we tried to figure out what was going on. their future. we looked at it and we said, you the children are riding the waves again around the battered know what? there's just no way to condone shores of waveland. this. what we didn't realize is it had been spliced and diced six ways no community was hit harder by from sunday so as to completely katrina and none has been more hide this beautiful story of mindful of the fact children

suffered just as much as adults. transformation. >> last night andrew breitbart caroline collins can attest to told john king that releasing that. she remember hers father staying the video was not about shirley through the storm and returning to find him amid the wreckage. sherrod. >> this is shirley sherrod >> coming home and seeing him trying to save her job when her when i walk eed through the doo. problem is with vilsack and the usda and the naacp, both which kissing us on the head. have rebuked her and forced her >> reporter: so from the start to leave her position. this town has focused on the >> i think she has legitimate recovery of children as much as questions, as do we. for secretary vilsack, the the return of adults. naacp, agriculture department as the mayor puts it, more than and perhaps even the obama white house. but did you reach out to her business, more than government. when you posted this to ask her, i have this tape, i think it >> families are the heart and soul of the community. shows what you believe to be damning conduct or questionable >> reporter: as a result, some of the earliest recovery conduct. did you reach out to her and say projects here were family what is it that you're talking about, whether did this happen? oriented. baseball fields and parks, >> this was not about shirley community center, new library, sherrod. this was about the naacp attacking the tea party and this new schools, and safe places for is showing racism at an naacp children ask their parents to event. retreat from the devastation and i did not ask for shirley sherrod to be fired. i did not ask for any debris. it is an ongoing process. repercussions for shirley sherrod. they were the ones that took the

initiative to get rid of her. i do not -- i think she should st. clair church, a new youth have the right to defend group has been started. herself. beth is an organizer and she's but what you see on the video are people in the audience at an never had any doubts about staying. >> i lived here my whole life. organization whose sole job is this is where i belong. to fight against discrimination this is where my children belong and my family. and they're applauding her overt and there was no question we racism that she's representing. were going to rebuild. >> reporter: and plenty of young people are fully committed to >> there we heard from andrew helping. >> we want the best for the community. we love it just as much as the adults do. >> reporter: still it is an breitbart. his main site is breitbart.com. ongoing process. convincing adults to deal with terrible things like a great storm or catastrophic oil spill is one thing. since striking out on his own, persuading them to expose their he has build a brand around his children to it is something "big websites" including the site that first posted the else. but this town made that a sherrod video biggovernment. priority and it still is. there's also bighollywood, as a parent, what do you want bigjournalism and bigpeace. other parents to know about your >> in an interview given, he town? >> that it is -- it is safe. said the sites would "fight the mainstream media who have it is a safe environment. i want them to know they need to repeatedly and under the guise. objectivity and political come home.

>> reporter: he should know. neutrality promote a blatantly he has seven children all still left of center government agenda. the website was also the first growing up right here in their to expose those undercover a.c.o.r.n. videos featuring the pimp and prostitute. hometown. he also helped launch "the we just can't say strongly enough what a huge victory it is for waveland. huffington post". all of the families they have >> we were the first to allow lured back here, they really had shirley sherrod to defend to bring people back to a battle herself in her own words yesterday morning. she will join us as developments become available in this case. there is a chance she may even be back in her position before the day is out. she'll join us to talk more about the fallout in about an hour. >> one of the big questions we have for her, if offered her job back does she want it after what happened. a deadly flooding in flagstaff, arizona. officials say a 12-year-old girl drowned in the rising waters after being pulled nearly a third of a mile from where she disappeared. recent wildfires have made the area particularly vulnerable to flooding right now. for a full look at your weather forecast, let's bring in jacqui jeras in the extreme weather center in atlanta.

gosh, some serious storms across the country. what are we looking at today? >> yeah, unfortunately we have more flooding information to tell you about. has just been breaking overnight as rivers continue to rise and the rainfall comes down at just incredible rates. in northeastern kentucky and west virginia, there have been a number of rescues that have been place. homes flooded and evacuations have occurred as well. we're working to try to get you more information and get you some pictures. we may be able to bring that to you later on this hour. there are flash flood watches and warnings in effect here, that does include the cincinnati metro area. you could have another one to three inches of rain. you see the severe weather threat associated with that same front that stays put and heat is a big story across the south. unfortunately that's going to build again today with heat indices well beyond the triple digits. we're tracking some systems in the tropics here. it's kind of weakened overnight but the national hurricane center has a high probability this could develop into our next tropical storm. we'll have more details when i

see you guys again. >> looks like those unemployment benefit checks are going to be out again. we'll talk more about that when we "mind your business." also bp's ruptured well. scientists say it is now leaking in five places. it will stay capped for now but there are new concerns as a storm may be headed that way. we'll have an update for you from the gulf as well.

welcome back to the most news in the morning. 14 minutes past the hour. new this morning, denver paramedics say at least 21 people were taken to a hospital after a united airlines flight hit severe turbulence on its way to d.c. a city official says people were treated for head, neck and back injuries. the jet took off in l.a. and landed in denver around 9:30 last night. inspectors are headed to the airport to investigate. in morning lindsay lohan is in a los angeles area jail. lohan was sentenced to 90 days for missing mandatory alcohol treatment classes. she'll likely though only serve about two weeks because of jail overcrowding. is that a mugshot or is that a mugshot? we promise you that that's the last you'll hear of the story on this program at least until she gets out. >> really? >> i'm making that promise this morning. count on me. >> this is no cheesy magic

trick, by the way. a california teen has pulled off what many think is impossible, trading an old iphone for a porsche. it started two years ago, steven ortiz trade and old cell phone for an ipod on craigslist and he kept trading up. eventually acquiring dirt bikes. then a mac book pro. the laptop was then traded for a toyota hadr4-runner and he ende with a 1975 ford bronco. he then traded it for a 2,000 porsche. what's he going to do next? >> i was thinking about selling this and buying a house for my parents. you never know. that or maybe another truck. we'll have to wait and see. >> he traded a 1975 bronco for a 2000 porsche? >> maybe he was a collector of broncos. >> is there a kilo of cocaine in the bronco that we didn't know about? >> you had to go there, right?

who knows. but the guy's very influential obviously. >> who would make that trade? >> he's a savvy dealmaker. >> obviously. relief could be on the way for millions of americans who desperately need jobs but will extending unemployment benefits help or hurt the overall economy and the economic recovery? we'll find out. 16 minutes after the hour. bank check the gas in the tank ♪ ♪ check the hottie walking by... ♪ ♪ ...wait that's a dude, no thanks ♪ ♪ check the new hairdo check the mic one two ♪ ♪ 'cause i'm about to drop some knowledge right on top of you ♪ ♪ you check a lot of things already why not add one more ♪ ♪ that can help your situation for sure ♪ ♪ check your credit score ♪ free-credit-score-dot-com free-credit-score ♪ ♪ you won't regret it at all vo: offer applies with enrollment in triple advantage.

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coming up on 19 minutes after the hour. "minding your business" this morning. millions of out of work americans could soon receive federal help again. senate democrats with the help of two republicans voted to end debate on a bill that would extend unemployment benefits through november. >> republicans have been blocking this extension because it would add another $34 billion to the deficit. they were calling for cuts elsewhere before they would approve it. again it looks like it is on its way to passage. joining us now to talk about the impact of extending jobless benefits, editor at large for "fortune" magazine, you have said you aren't for extending unemployment benefits even though all of us understand that if you don't have a job, you've been looking you are clearly suffering without money. why do you think that the net effect long-term is really hurtful for the economy in. >> well, normally unemployment

benefits go out to 26 weeks. now they've extended eight times. we're at 99 weeks. the unemployment rate is still extremely high. big problem is the money's being borrowed and added to the deficit. the deficit is one of the biggest problems we have in terms of future long-term interest rates which are very worrisome to companies and nothing's really being done to attack the root of the problem which is the reluctance of companies, especially small companies, to hire people. putting this in context, in late 2008 and through most of 2009, companies cut back as if there were a depression, expecting the economic problems to be even worse than they actually were. the companies are very understaffed now. we have an unemployment rate that's really at european levels we've never seen in america virtually. so they should be hiring again. eventually they will hire again, but the hiring has been very, very slow. and the reason is because they're worried about the future cost problems because of such things as cap-and-trade, the big

looming increase in capital gains taxes, is up chapter s corporations are worried about taxes going up. you have severe penalties if you don't offer health insurance. when these companies are in a tough economy, the first thing they cut is labor. one of the great things about the american economy is that people are laid off very quickly in a recession and they're hired back very quickly in a recovery. sbl what do you make of this argument that the democrats make and that two republicans buy in to that by borrowing money to extend unemployment benefits you are putting money in the pockets of people who will spend it and what you're outlaying is interest on the debt. the net effect is that you actually do a have an economic stimulus because of that money. >> mathematically that's impossible. you're borrowing it from people who otherwise would be spending it or saving it. if it's spent, goes right into the economy. if it's saved it goes into the banking ace tell and creates

more credit and that money is immediately spent or spent very, very rapidly. so you just are shifting money around. in other words, you're virtually borrowing it, taking it out of the economy from the same people that you're then sending checks to. so you're not creating any money here. in other words, the government doesn't create net money, it just shifts it around. >> a lot of people write in and say why are we talking in $9.7 billion in aid to pakistan and talking about sending money everywhere else. this money has to be paid for but all the money we freely spend is not necessarily subject to the same scrutiny. >> clearly we have a severe deficit problem. we have a structural deficit before the additional spending for stimulus came on the scene, and now we are seeing that in 2020 we'll have trillion dollar deficits after the economic recovery is in full force and unemployment rates are projected to be below 6%. that's never been the case

before. we have a severe structural deficit. that cannot be stimulative. spending on top of what's already a deficit that's not going to go away in a recovery cannot be stimulative to an economy. it's something mccain's never recommended, even though it's been used in his name and it is something that really has people terrified now. it is going to drive up interest rates, increase tax rates. those things are not stimulative. when you have much higher tax rates you have fewer people participating in the economy. spouses stay home and take care of the kids and fire the nanny. things like that happen so the labor force participation shrinks. that's one of the major sources of growth in the country that's going to be lost if these deficits persist. >> no question the deficits are very frightening going up. but in terms of the unemployment benefits at least, your very sage arguments considered. pleasure to see you. coming up, the coming-out party on capitol hill. the congressional tea party

caucus meets for the first time and there was some prominent republicans who have signed on but others have declined. jim acosta is digging deeper for us. five leaks have now been detected in bp's capped oil well, raising concerns about whether it may be buckling under the pressure. can it hold on? 24 minutes after the hour. hi, may i help you? yes, i hear progressive has lots of discounts on car insurance. can i get in on that? are you a safe driver? yes. discount! do you own a home? yes. discount! are you going to buy online? yes! discount! isn't getting discounts great? yes! there's no discount for agreeing with me. yeah, i got carried away. happens to me all the time. helping you save money -- now, that's progressive. call or click today. there's a moment where everything comes together. where there's magic.

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some renewed concerns now in the gulf of mexico about bp's ruptured well and whether or not it might be buckling. there are five leaks detected so far. >> retired coast guard admiral thad allen is dismissing the leaks as "very small drips" and he's ordered the well to remain capped for the sixth day now. as for the oil we heard about seeping from the ocean floor, he says that's coming from an older nearby well that's no longer in production. published reports say bp's beleaguered ceo tony hayward is stepping down. the company denies it. now a new wrinkle. a weather system that's forming off the puerto rico could become a tropical depression with the gulf squarely in its sights. >> rough seas, high winds, thunderstorms of course the last thing that clean-up crews need right now. it's proving to be challenging enough to spot oil slicks, then to get the boats out there to skim them off the ocean surface in calm conditions. but, there is a new tool that's helping crews put a small dent

in the enormous disaster. it's a blimp. cnn and its viewers have been granted exclusive access to board. rob marciano and amber lyon on a tag team operation that's under way at sea. >> reporter: we're just pulling up to the coast of gulf shores, alabama. because this blimp just slides across the water, these guys have a great viewpoint. when they spot anything wrong, they tell the pilots to then radio down to that vessel right there. rob marciano's on that. >> reporter: we are on the lead strike team vessel that's heading out to the gulf of mexico to work with ten other vessels of opportunities that are skimming out there and that blimp that's going to help us. it's going to be quite an experience. lieutenant j.g. scott mcbride with me. what can you tell us? >> basically what's happening here is the air ship is flying approximately 22 knots.

what's going to happen is it flies at 1,000 feet. once it spots oil, it descends to 500 feet to get a closer look. >> where are we headed right now. >> we're going in, some skimmers have a report of medium to light oil so we're actually going to go there and find it. these guys are picking up oil right here in these skimmers. >> there is a light sheen reported on the water and these guys, along with the team behind us, they are going to clean it up. >> looking right now at some boom. there's a boat down there laying that to protect the beautiful white sands of gulf shores, alabama. they even have a book that shows pictures of exactly what they are looking for. there's name for all these kinds of oil. you got medium oil there, light oil, we even have what's called a streamer. >> roger that. coming through with the boom in here. we were going to continue westbound about a half-mile offshore and meet up. >> copy that. >> the workhorse in the coast

guard, search and rescue operations. one of our photo journalists is riding around with them to give us another vantage point of how all this is coming together. >> i think what's most evident about the effects of this oil spill on the coastline is look at these beaches. normally they're packed with tourists. nd you're just seeing empty lawn chairs and umbrellas. >> what's happening is the bait fish are coming closer to shore because of all the oil, so all the sharks, we've seen pods of 100-plus sharks at one time. i've never seen that in my entire life. >> the latest weapon in the arsenal to battle this oil spill, there is the airship heading back now to land. seas here are getting way too rough to do any sort of effective skimming. at least for today skimming operations have ended. >> we just wrapped up day 12 of testing this blimp. there's about two weeks left, then the coast guard will decide

if they want to send this out in the field to hunt for oil permanently. >> amber and rob join us from gulf shores, alabama. amber, you've seen this disaster from the bottom of the gulf where you ran with sharks yourself. what kind of help is this airship going to be in the days to come? >> well, john, when we were flying above the gulf of mexico right by gulf shores, alabama we didn't spot any large slicks of oil, although some of the coast guard members who were on the blimp said that they did see a light sheen covering almost all of the gulf that we were looking at. and the cool thing about this blimp is that it can hover over the water at almost a complete stand still, it can also move backwards. that helps spotters on-board look for any injured marine life and also for these slicks. >> rob, back on the boat you talked about those skimming operations ending for the day because of the rough seas. of course you are a meteorologist as well. there is concerns that there is

a storm headed their way. when -- i guess what i'm wondering is how bad does it have to get before they decide to call it off? can it just be a little bit of rough weather that will just suspend the skimming operations for the day? >> it doesn't take much. matter of fact, we were out there probably an hour or two longer than they needed to be as far as being effective. you get three or four-foot seas and it gets tough for skimming operations, especially with the smaller vessels and the smaller slicks. so it doesn't take a whole lot. as for that tropical system you are speaking of, we'll just have to wait and see today and whether or not it develops a little bit further. if it does, it is pointed towards south florida and potentially into the gulf of mexico later on this weekend and next week. we'll know more about that. all of my colleagues in the cnn weather center will tell you more about that as well. want to tell you about something that's happening this weekend. i'd been having quite an experience down here in the gulf of mexico over the past three months. want to share it with you. we got an hour special that's

going to air saturday and sunday. the people out here, you certainly have a right to be angry, have you a right to be sad at what's going on here, but you got to support the heroes that are doing the job do clean up the gulf of mexico and to save the gulf of mexico. i've had an opportunity to spend time with them. 8:00 saturday, 8:00 again on sunday, both eastern and pacific time. it is called "rescue saving the gulf." we're highlighting the heroes that are doing just that. >> that's amazing, too. we were talking about how much they do suffer in this heat as they clean up the oil spill. even on the blimp yesterday we didn't have bathrooms, we didn't have air conditioning. and it was about 118 degrees heat index inside for almost four hours in a row. >> yeah. they're all getting through it in the heat of july and august. it's a tough go, for sure. >> i'll certainly be watching rob, 8:00 saturday and sunday. thank you so much. we're crossing the half-hour, time for a look at the top stories. 2 1/2 million americans one step

closer to getting their jobless benefits restored. the senate could vote as early as today to extend federal help through november. yesterday democrats with the help of two republicans voted to end debate on a bill. the house is expected to approve the extension. british prime minister david cameron's first visit to the white house overshadowed by questions about bp and the release of pan am flight 103 bomber. cameron and president obama both condemned the decision by scottish authorities. a grouch senators asked cameron to investigate the role that bp may have played in his release. the british oil giant's been accused of lobbying for the release to gain access to libyan oil fields. it appears her reputation is restored, so will she get her job back? agriculture secretary tom vilsack saying he will now reconsider the facts surrounding the decision to get hid of the department official, shirley sherrod, a woman who lost her job over comments that sounded racist. the naacp saying it was snookered at first but saying it has now heard the whole tape. it is a bill capitol hill tea party.

in just a few hours the newly minted congressional tea party caucus holds its very first official meeting. >> how will the new status impact the growing tea party movement? our jim acosta is following that for us, live in washington. good morning. >> reporter: morning, guys. the tea party is not on the outside looking in anymore. this new tea party caucus is growing fast. members will hold their first meeting later this morning. the leader of this new caucus is no stranger to controversy. the tea party doesn't have to protest outside the capitol to go et its message across. the growing political movement now has its own organization or caucus inside the house of representatives. >> grandma isn't shovel-ready. >> reporter: the leader of the new tea party caucus, republican congresswoman michelle bachmann of minnesota says her group will routinely sit down with ordinary americans who she says want their country back. >> i think it's going to be very interesting to listen to what real doctors and real housewives

and real farmers and real small businessmen have to say. they live in the real world. >> reporter: the tea party caucus message of low taxes and small government has already lured about a dozen gop house members, including indiana's mike pence. >> i'm proud to be a tea party endorsed candidate for re-election. i was honored to join the tea party caucus. >> reporter: the caucus comes as the movement faces a big test. the naacp has accused tea party leaders of tolerating racist behavior at their rallies. one tea party leader mark williams was ousted from the movement after he posted a racially charged commentary about the naacp on his blog. booting williams, pence says, was the right call. >> when we see people in organizations over which we have influence that engage in rhetoric or commentary that is offensive to the american people, it is important that we speak out against that. >> reporter: so the tea party needs to police itself? >> and i believe they are. >> reporter: bachmann says tea

partiers have also been victims of offensive attacks. she points to congresswoman sheila jackson lee's comments at a recent naacp event. the texas democrat compared tea partiers to members of the kkk. >> those who used to wear sheets and now being able to walk down the aisle --" >> reporter: an aid said jackson was unavailable. >> that's a highly offensive statement to make. >> reporter: as for bachmann's take on the tea party movement -- will you not appear at any more of their events. >> that's not the issue. the issue is what we're going to do at tea party caucus. we're going to listen to them and get their ideas out. >> this caucus is already being taunted by democratic leaders, house majority leader steny hoyer says he is anxious to see how many republicans adopt the tea party agenda.

bachmann notes it is open to democrats, too. >> jim, you were asking her specifically is she going to show up at any more tea party express events. that was mark williams' group. what did she say to that? >> she really didn't give an answer. she did not give a definitive answer yes or no. my sense is that she'll continue to do that. they've held a lot of tea party rallies, not just with the tea party express but members of congress have been making regular appearances at tea party rallies up there on the hill and when i asked bachmann what she thought about some of the racially incendiary signs you see at some of these rallies, she said that while that might be going on, you can't control who shows up at these rallies. she also said perhaps these are infiltrators trying to pose as tea party activists trying to hold these signs. that's her take. zbl >> everybody's got their take. raise awareness to help at-risk kids and kids who need a place to call him.

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big mike, why were you going

to the gym? >> because it's warm. do you have any place to stay tonight? don't you dare lie to me. >> the lesson in the film "the blind side," one act of kindness is all it takes to turn a life around. actor quinton aaron starred with sandra bullock in the film and he's in washington today promoting the nonprofit group children uniting nations which pairs at-risk and foster kids with mentors. aaron joins us now live from our washington bureau along with beatrice franklin who was mentored through the program. great to see you both this morning. let me start with you, quinton. how much did playing the character of michael orr and experiencing the story of "the bri blind side" inspire you to give back to the children of united nations. >> very much. after i seen how the fans took to the movie and, you know, the

message that was put out through the movie, and it's a lot of what goes on in hollywood that inspires what happens in the world today is the way i see it. so why not put our messages that would help our teens and youths. like so many people are inspired to do better because of what they seen in the film. so that -- you know, encouraged me to go after a bigger cause, a greater cause and reaching more teens, more kids, more people in michael's situation or worse situations to help them go after their dreams. >> beatrice, you've had your own problems as a teen bouncing around from foster homes to group homes, staying with relatives as well. let me just get your reaction to the mfb. it had a particular resonance with you when you saw it. didn't it? >> oh, yes, i cried throughout most of it. it was a beautiful story and so much of it i felt this resonated

with my whole experience being in foster care. >> when did you first meet your mentors and how did they help you? >> i met them at day of the child which is an event put on by children uniting nations. one day a mentor comes out to mentor a child. i met them when -- i was actually standing in the corridor and i didn't want to participate in the activity that day. and joan came to the corner and she wanted to mentor a child but there wasn't anymore kids to mentor. so my group home staff literally pulled me out of my chair to join them. i am so glad for it. they have not only helped me to go to college, but they have become a psychological rock for me and been there in being dark hours of my life. >> you know, michael, you've had some dark hours in your life as well. after you auditioned for the movie, your mom passed away leaving you really to kind of pick up the pieces as a father

figure for your family. how difficult was that? >> it was definitely a test. definitely. i was very heavy into the church and all of my family that kept with me, stayed with me, helped me get through that point in time in my life, if it wasn't for them, i don't know, you know, where i would be. i thank them very much for that, because my mom was my rock. you know? she was with me every step of the way. she's the one that found the role for me in the plv "tmovie blind side." she was my biggest supporter, my biggest fan. she knew me more than anything. so when that happened that was definitely a hard hit. but i knew what she wanted me to accomplish overall and that was my main motivation and determination to do what i had

to do to get to where i needed to be. >> let's look at some statistics here. when it comes to people in foster care, 500,000 in the system in 2006. 20,000 of them age out of the system every year. we covered one particular story not too long ago. only 54% achieve a high school diploma. 2% get a bachelor's degree or higher. 25% have been homeless at some point. quinton, how did the mentoring programs that you are involved in battle those statistics? >> i think it helps a lot when adults and parents and people other than the kids take on to what the kids are going through. you know? they go through so much in their daily lives and they feel like they're alone. they feel like they have no one to turn to because they don't think anyone has been through or

has any experience in what they're going through so they tend to face everything on their own thinking that they're alone. >> beatrice, the fostering program, as we said, has helped you battle the statistics. you're in college now. as you go through your college life and as you head into your professional career, are you planning to kind of pay it forward here, give back yourself? >> oh, definitely. i think that a lot of these kid don't feel like they're worth an education. i think that just spending five minutes with them, letting them know that their abilities is good and that their talents are good and that they're worth and education and everything that an education can and will provide them with. >> certainly a terrific thing that you're involved in. quinton aaron and beatrice franklin, thank you so much for being with us this morning. really appreciate it. good luck today with the program. if you want more information on this and how you can help children uniting nations, head to childrenunitingnations.org. >> they're doing great things.

a wonderful program. it's 47 minutes past the hour right now. jacqui jeras is in for rob. she'll keep an eye on the tropics and in particular right there, a storm system that's forming. will it affect the gulf coast cleanup? she'll have more, plus the travel forecast after the break. also, the future of vanity. we'll show you the mirror that delivers a lot mr than just your reflection.

let's get a quick check of this morning's weather headlines. jacqui jeras is in the extreme wlerpt for us. a lot of flooding in the last 24 hours. what's it going to look like in some of those areas today? >> unfortunately, more of the same. we expect more torrential downpours across most of the nation's midsection. we'll talk about flooding in a second but i wanted to start out talking about the tropics. the national hurricane center has upped the chance of this developing to high to 70%. we showed you yesterday all the showers and thunderstorms over san juan. look at what's happened here overnight. this system has really fallen apart and a little bit of dry air has kind of been moving into the system. we still don't have what we would call a close circulation or center of low pressure which is what you need to call this thing a tropical depression or tropical storm. the national hurricane center will update that outlook risk at 8:00 eastern time. we'll let you know what they have to say but i'm not nearly as excited about development

thon thing at this time. forecast models all really cluster together so this will be something we'll be monitoring for potentially florida and possibly the gulf of mexico because conditions are more favorable in the gulf for development than they are over in the caribbean where it is right now. here's the line of thunderstorms. that stationary front is trying to sink a little bit further to the south. the area of flooding today has dropped down a little bit. northeastern kentucky has seen flooding, evacuations have been taking place here as well as some rescues, another one to three inches unfortunately on top of what you had. the northeastern corridor is doing okay right now but there you can see that video out of northeastern kentucky. the northeast does have a slight risk of severe thunderstorms as a result. and heat, heat, heat! it doesn't want to go away, guys. i wish i had better news for you but 90s still and still feeling like triple digits for so many people. that could very well carry right into the weekend. >> got to be careful in the

heat. one track of that potential storm very troubling, taking it right to the mouth of the mississippi. >> it absolutely is. it is good to see a lot of wind shear ahead of this system. that's going to make it really difficult for it develop. let's cross our fingers on this one. it may be the farest mirror of them all. we'll show you the mirror that can multi-task being introduced in some hotel rooms. but what's it really do? we'll take a look. 53 minutes past the hour.

four minutes to the top of the hour. if you spend a lot of time in front of the metthe mirror ever morning. in today's "edge of discovery report," a mirror that delivers more than just a reflection. >> reporter: magic mirror on the wall -- a mirror that can multi-task? snow white's evil queen had one. and now the interactive mirror by interference, inc. >> it is a new take on something

most people have in the home. we've added a little bit of magic to it. >> reporter: one touch unlocks apps and witdgetss. >> i have the latest headline from cnn, also the time, date and weather right there. there is no reason we couldn't lift to to your computer or blackberry and, say pop-up, here's what i'm doing today. >> reporter: these two men dreamed up the interactive mirror two years ago. from touch screen technology to augmented reality, the mirror recognizes an object in the real world and reacts by displaying information tied to that object. >> we have a simple hello world animation here but this could be almost anything. you could be at a music store and wearing a u2 t-shirt. we recognize it is a u2 logo. suddenly we pop up the latest u2 video. >> reporter: a consumer version

of the mirror is in the works. its creators say it will cost in the hundreds. gary tuchman, cnn. >> if you don't already spend too much time in front of the mirror now, you can spend even more time in the future. >> you don't have to look at yourself though. there are many other things to look at. top stories coming your way right after the break. stay with us. [ male announcer ] looks clean, doesn't it?

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good wednesday morning to you. thanks so much for joining us on the most news in the morning on this wednesday, the 21st of july. i'm john roberts. >> i'm kiran chetry. the whole tape is out now and we're getting closer to figuring out whether or not there will be some changes today in the statements that came out yesterday. all of it relating to that woman, shirley sherrod. now the agriculture secretary,

tom vilsack now saying he will reconsider the facts surrounding the decision to get rid of department official shirry sherrod, a woman who lost her job over comments that sounded racist. the naacp saying it was snookered at first but has now heard the whole tape. five leaks have now been found in bp's capped oil well raising concerns that it could be buckling under the pressure. admiral thad allen dismissing them as small drips decided to keep the well capped for a sixth day now but now rough weather may be on the way to the gulf in the next couple of days. there is a storm brewing over the coast of puerto rico, just what clean-up crews do not need at this point. the intelligence community goes about its business amon news anonymously, top-secret america just ahead. first a stunning twist in a story that's once again brought the sensitive state of race and politics to the surface in this country. now sounds like agriculture

department official shirley sherrod just might get her job back. just 24 hours ago when she was first given the chance to defend herself on this show, many were branding her a racist after a conservative website released an edited tapes of comments that she made back in march. but now the whole tape is out, so is the whole truth. cnn's joe johns has the whole story for us. he's live in washington this morning. joe, context is such an important thing particularly in a story like this. >> that's for sure. now a lot of people in washington wonder whether the government may have jumped the gun. we'll see what they say, john. this is a story about race and politics and america's history in the south. the story of the personal journey of shirley sherrod, a top-ranking agriculture department official in the state of georgia, worked for the federal government, who gave a speech at the naacp a few months ago, made some personal disclosures about whether she was going to help a white farmer who came to her for help decades

ago. so excerpts of that speech got posted on a conservative website. the whole thing going viral. before you know it, shirley sherrod's boss, the agriculture secretary, asking for her resignation. it is the tale that she tells that the excerpt of the tape was taken out of context, that she's not a racist and that she treated the white farmer in her story fairly. >> i did not discriminate against him, and in fact i went all out, i had to franticly look for a lawyer at the last minute because the first lawyer we went to was not doing anything to really help him. in fact, that lawyer suggested they should just let the farm go. all of that process -- that's why i tell it, because everything that happened in dealing with him -- he was the first white farmer who had come to me for help. everything that i did working with him helped me to see that it wasn't about race. it's about those who have and

those who don't. >> reporter: as it turns out, the farmer and his wife, roger and eloise spooner, are on sherrod's side and became good friends with her telling cnn shirley sherrod was a big help to them when they were in financial trouble. >> she put us in touch with the lawyer that knew what to do and he helped us save our farm. >> she went with us. she went with us in our car. she asked us did we want her to go. and we definitely wanted her to go. and i don't know what brought up the race issue in this. >> reporter: perhaps the thing that added gasoline to the fire in this case was sherrod's assertion that the white house run by, of course, the first black president was somehow involved in asking for her resignation. it is pretty evident that this case could become a political problem for the democrats in an election year if someone had not acted decisively to try to put it to rest. when the department of agriculture called her for her resignation, she says they told her the white house itself

wanted it. >> they asked me to resign, and in fact they harassed me as i was driving back to the state office from west point, georgia yesterday. i had at least three calls telling me the white house wanted me to resign. >> reporter: the secretary of agriculture, tom vilsack, however told us that just wasn't the case, that it didn't matter whether shirley sherrod felt she was taken out of context, what mattered is what she was captured on videotape saying. >> i didn't speak to anybody in the white house. when i saw the context of the statements i determined that it would make it difficult for her to do her job as a real development director and it would potentially compromise our capacity to close the chapter on civil rights cases. i didn't want anything to jeopardize her job in terms of getting people to work in georgia and getting the job done, and i certainly didn't want us to have a controversy making it more difficult to turn the page. so i made this decision, it is my decision. nobody from the white house contacted me about this at all.

>> reporter: in fact, last night a white house official confirmed to cnn that after vilsack made his decision monday, president obama was briefed on it, fully supported the secretary's demand for sherrod's resignation. so here we have another story about how unforgiving washington can be. but as you know, the last part of this story, john, kiran, is that vilsack apparently is considering going ahead and reconsidering this, getting all the information in, which probably is a thing that should have happened at the first place. back to you. >> it also appears to be, at least on the surface, another example of how something totally out of context put out there on the internet can ruin somebody's life. >> yeah. well that's absolutely right. you have to watch out for that and you have to vet it a little bit. i think we all do it in this business. there's a lot of great stuff that happens on the internet. a lot of really good bloggers. but there's also bad information

as well. it is the wild, wild west. you know? you've just got to watch it. >> particularly ironic, too, where the agriculture secretary says her language might not be able to let her do her job effectively in the future, where she tells this tale where she contends that it helps her to do her job. >> the question also is really whether what she said would follow her around and, you know, create lawsuits and other kinds of mismischief. that's something they have to get their crystal ball and look into the future about. >> joe johns this morning, thanks so much. we were the first show to allow shirley sherrod to defend herself in her own words yesterday morning. she will join us again in about ten minutes' time with her latest reaction to this quickly developing story. the government wasn't the only one to react quickly and perhaps double back now. the naacp also apologizing to sherrod after the initial statements that they viewed what she says as racist. in a statement released

yesterday, naacp president ben jealous said, "with regard to the initial media coverage of the resignation of usda official shirley sherrod, we've come to the conclusion we were snookered by fox news and tea party activist andrew breitbart into believing she had harmed white farmers because of racial bias. having reviewed the full tape, spoken to miss sherrod and most importantly heard the testimony of the white farmers mentioned in the story, we now believe the organization that edited the documents did so with the intention of deceiving millions of americans. next time we are confronted by a racial controversy broken by fox news or their allies in the tea party like mr. breitbart, we will consider the source and be more deliberate in responding. last night campbell brown grilled the organization's vice president about why they didn't initially dig a little deeper on this. >> you came eight and you called her actions -- your word -- shameful and you did that without even reviewing her entire speech. because frankly, you didn't have to listen to that much more of

her speech. it was prettily clear the point she was trying to make if you'd just listened to another minute. >> it was done by certain people within the naacp. they based it on the information that was before them. they made the decision, quite frankly, if all she'd said is what you heard on that tape, you would agree that as the naacp has always maintained, we have a no-tolerance policy on racial discrimination and racist statements. >> i get that. but that's not what she was saying. clearly had you done even the smallest amount of homework you would have known that. >> once we got the full video and listened to the whole thing in its entirety, it was very clear that not only was she not a racist but she moved beyond the call of duty to make sure that the spooners had what they needed to be able to save their home. she had done that for so many other families as we continue to dig deeper and deeper into it. >> i guess one of the big lingering questions is why they didn't wait until they had the full tape before responding as forcefully as they had.

as for andrew breitbart, he told john king this was not about shirley sherrod. >> this was shirley sherrod trying to save her job when her problem is with vilsack and the usda a and the naacp. >> i think she has legitimate questions, as do we for secretary vilsack, naacp, the agriculture department and perhaps even the obama white house. but did you reach out to her when you posted this to ask her, "i have this tape, i think it shows what you believe to be damning conduct or questionable conduct." did you reach out to her and say what are you talking about, when did this happen? >> this was not about shirley sherrod. this was about the naacp attacking the tea party and this is showing racism at an naacp event. i did not ask for shirley sherrod to be fired. i did not ask for any repercussions for shirley sherrod. they were the ones that took the initiative to get rid of her. i think she should have the right to defend herself.

but what you see on the video are people in the audience at an organization whose sole job is to fight against discrimination and they're applauding her overt racism that she's representing. >> just who is andrew breitbart, in some circles he is incredibly influential. his main site is breitbart.com, a news aggregator, getting millions of hits daily thanks for frequent hits from the bruj repo drudge report. he's built a brand around his big websites, biggovernment, the site that first posted the video of sherrod. bighollywood, digjournalism and big dp pea bigpeace. >> he says those sites would fight the mainstream media who under the guise of objectivity and neutrality promote a blatantly left-of-center pro-democratic party agenda.

biggovernment was the first site to post those undercover a.c.o.r.n. videos featuring the pimp and prostitute. ironically breitbart helped launch "the huffington post" website after meeting arianna huffington while working for matt drudge. some say the leaks in the gulf are being dismissed by thad allen. some reports today say bp's embattled ceo tony hayward may be stepping down from the company. those reports right now at least are being denied by bp. paramedics in denver say at least 21 people were taken to the hospital after a united airlines flight hit severe turbulence on its way to los angeles. city official says they were treated for head, neck and back injuries. at least one person was seriously hurt. the jet took off in d.c. and landed denver around 9:30

eastern last night. the faa says inspectors are going to investigate the incident. torrential flooding in china left more than 700 people dead and another 347 at least missing. chinese officials say that 90% of the deaths are from flooding, mudslides and landslides. more than 645,000 homes collapsed because of that flooding. we'll have more later this hour from our john vause who's in china's sichuan province. here in this country we had some flooding and severe storms in the last 24 hours and flooding might continue today. jacqui jeras has a quick look at this morning's weather headlines. >> we're definitely looking at more flooding problems. in fact rising waters just overnight caused evacuations, people had to be rescued from their homes and had a real problem across eastern parts of kentucky and west virginia as our stationary front to sr. trying to make a little progress down to the south. today we'll focus on the appalachians as well as the northeast now in terms of that heavy, wet weather as well as the severe weather threat.

you can also see another area across the western high plains and parts of the midwest. south of this sis at tystem, th pressure system is just sitting there and the heat continues to bake. when we talk about prolonged heat, it does become a little bit more of a problem so you need to be cautious when your temperatures are well into the 90s. then we are talking about heat indices well beyond 100 degrees. we are also tracking the tropics right now, an area of disturbed weather you can see near puerto rico is making progress toward the west but it's really fallen apart in the overnight hours. the national hurricane center has issued a rye high risk this could develop into our next system. we'll talk about that again in a half-hour. >> i was looking forward to a next appearance from jacqui jeras. thanks so much. >> though we wish you had better news for us. heat wave and potential turbulence in the atlantic. >> just the messenger. >> we never blame you. up next, shirley sherrod, the woman at the center of the firesto

firestorm. we ask her what she thinks coming right up. 15 minutes after the hour.

17 minutes after the hour. back to our top story now, the controversy over the dismissal of agriculture official shirley sherrod. >> by now you've probed heard the portion of her remarks that led to the request for her resignation by the department of agriculture, remarks where she seems to be suggesting that she withheld help from a farmer in

need because he was white. but listen now to comments that she made in that same speech that weren't initially released. >> like i told you, god helped me to see that it's not just about black people, it's about poor people and i've come a long way. i knew that i couldn't deal with hate. you know. as my mother has said to so many, if we had tried to live with hate in our hearts, we probably be dead now. >> we're joined now by the woman at the center of this controversy, shirley sherrod. shirley, thanks so much for joining us yesterday morning and thanks so much for being with us again today. >> oh, thank you. >> shirley, boy, 24 hours has happened, i'm sure it's been a whirlwind for you. now the news that there could potentially be rethinking of this both by the naacp who put out a new statement and also the department of agriculture.

what are you feeling today knowing what a firestorm all of this has caused? >> yeah. you know, when i look back over the last couple of days, it just seems so unreal. you know, had the department taken the time at the very beginning, we wouldn't be doing this today. for them to now say, after so much attention to it and, you know, having the tape out there even before and not being willing to actually look at it, to have them come forth now to say they're willing to do that, i guess is sort of bittersweet for me. >> you know, i was wondering about that. we interviewed the agriculture secretary yesterday. cnn did. and he seemed to stand by his guns saying, no, i fired her because the type of language that she used in that speech might jeopardize her impartiality in the future, people might question her decisions.

he also released a statement to the same effect, then very late last night said, you know, we're going to take another look at this. what do you think of that? it was a 180 of monstrous proportions. wondering what you think. >> yes, it was. you know, if they had just taken the time to -- even without looking at the tape to look at me, to look at what i've stood for, to look at what i've done since i've actually been at the department, i don't think they would have been so quick to do what they did and so insist ten. i was on a 3 1/2 hour drive from one part of the state to the other. for them to keep calling me and telling me they want my resignation, and to eventually say, "pull over to the side of the road" was so cold. to now come back and say, well, we're willing to look at this, it is definitely a little

bittersweet. apparently, they never really looked at me. i didn't make a lot of noise. i just work since i've been at the agency and i worked for fairness for everyone. i worked for access for everyone at the georgia rural development office. >> i want to also talk about naacp's reversal of their position as well. as you know, i read you the statement that was put out in the wee hours of yesterday morning by naacp president ben jealous condemning you. after that he talked to anderson cooper last night. he says he was snookered by fox news and andrew breitbart because of the way the tape was edited. listen to a little bit of what mr. jealous had to say. >> we made a quick set of calls. it was late at night. as you may recall, our statement came out at like 1:00 a.m. we tried to figure out what was going on. we said there is just no way to

condone this. what we didn't realize is it had been spliced and diced six ways from sunday as to completely hide this beautiful story of transformation. >> as we understand it, ben jealous called you to apologize yesterday. what do you think of his turnaround here? do you accept his apology? >> he did call me and as soon as he said "i apologize," i said right away "i accept." you know, it hurt i think even more for the naacp to condemn me, especially when you look at my life's work. you foe, i've been out there for 44 -- 45 years, i should say, working for justice and to help an organization like the naacp condemn me so quickly without looking into the facts was very hurtful. but i accept the apology and just ready to move on. >> some are asking is this a teaching moment and what's next

for you. we're going to ask you those questions when we take a quick break. more with shirley sherrod in just a moment.

25 minutes after the hour. back now with more of shirley sherrod. shirley, the fellow that posted

this video talked about the language you used that was demonstrating racism at an naacp meeting. the secretary of agriculture also talked about the language that you used, the way you talked about it. if you watch the whole tape, you learn a story about your father, more than 40 years ago, being murdered by a white man. three witnesses to it. yet a grand jury refused to indict. how much did that incident sort of inform your thinking and the way that you talk about all of this at these meetings. >> you know, as i've said many times, the thing that happened to my father was so devastating to me, my sisters, my mother, my brother was born two months after he died. the thing that happened there, the things that happened after his murder, but especially on the night that he died, you know, made me -- i knew i had to channel what i was feeling in to

something. i couldn't go and kill the person who killed him. and i prayed and came up with the decision with god that i would devote my life to working for change. i didn't say -- well, i think early on my thought was working for black people, but i realized over time, just like i tried to say in the speech, that it's not just about black people. you know, i couldn't spend the rest of my life just working on issues of black people. we live in this world with others and just like i've worked to have white farmers, i've work to help hispanic farmers. i've connected -- i connected myself with farm groups and other organizations around the country. i didn't just have an impact right there in southwest georgia. >> it's interesting, you bring to the forefront -- and the reason we are talking about it today, is that race is still

something that is so difficult to discuss without accusations flying back and forth. i mean this is the latest example of you actually trying to impart some wisdom about your experience dealing with race relations, and it ends up blowing up into this 24-hour craziness. >> right. >> what does that tell us about how far we've come as a country in terms of being able to openly discuss issues about race especially black and white? >> right. you know, it makes me wonder just how far have we come. you know, we've work on these issues for years and years but where have we gotten? when we can't deal with it as individuals. that's basically what i'm saying. let's look at treating people like we want to be treated. everything i've always done, i always think, you know, how would i want to be treated in this situation? and i've let that guide me and

whether it's dealing with white people, hispanics, asians, you know, it's how i would want to be treated and i spend my life knowing how i would want to be treated, and then treating others in that way. >> it's part of their 180 on this whole issue, the naacp has appealed to the president to give you your job back. a lot of other people now rallying behind you, people who have abandoned you in the beginning. if the agriculture secretary were to come to you and say, shirley, we'd like to have you back, what would you say? you know, i'm just not so sure at this point. i really wonder in light of how i was treated over the last two days just what that relationship would be like for the future. can they move beyond this? >> yeah. that's a question a lot of people probably want to know. shirley sherrod, thanks so much for joining us. we'll keep watching the story. really appreciate it. >> thank you. >> coming up, we'll speak with

wade henderson, with the leadership conference on civil and human rights. he's weighing in on this entire controversy, larger issues about what it says about us as a nation but also should shirley sherrod get her job back. we'll talk to him as well. half past the hour. quick break. we'll be right back.

new this morning, bp's capped oil well now said to be leaking in five places. raising concerns that it might be buckling under the extreme pressure. coast guard admiral thad ael dismissing the leaks though as very small drips and ordering the well to remain capped for a sixth day now. just to makes things more nerve-racking, as if they could ever be, a storm may be forming

off the coast of puerto rico and potentially heading into the gulf in the next couple of days. 2 1/2 million americans are now a step closer to getting their jobless benefits restored. the sena could vote as early as today to extend federal help through november. yesterday democrats, as well as two republicans voted to end debate on the bill. the house is expected to approve that extension. back to our top story this morning. we are finally getting more information surrounding the comments made by shirley sherrod, a former agriculture department official. we just heard from her a few moments ago as she spoke to us again for a second day. comments posted on a conservative website that sounded racist but now we know were taken out of context. >> here's the rest of the tape to play for you now. you can hear for yourself the point that sherrod was trying to make. >> while working with him made me see that it's really about those who have versus those who have not. you know. and they could be black, they

could be white, they could be hispanic. and it made me realize then that i needed to work to help poor people. >> so should shirley sherrod be offered her job back in our next guest says yes. wade henderson is the president of the leadership conference on civil and human rights. he's in our washington bureau this morning. wade, good to talk to you. a lot of people are walk being back from what they originally said about this whole case and walking it back pretty quickly. what did you think when you first heard about this? somewhere in your mind did you think, wait a minute, maybe we aren't getting the whole story here? >> john, first before i say anything else to both you and kiran, listen, thanks to cnn. we're getting to the bottom of this story so you all should be congratulated for your in-depth coverage. >> just doing our jobs, wade. >> yeah, but having said that, look. i think that most americans would now agree that shirley sherrod is a sympathetic figure, that if anyone has been victimized by this terrible

mischaracterization it's miss sherrod. i think when you look at the tape in its entirety you see that she told a very powerful tale of personal redemption and racial reconciliation. i think americans in their entirety would benefit from listening to her story. having said that, i think our goal now is to make miss sherrod whole. that may be returning her to the job that she was removed from, it may mean giving her another position. you think she herself said this morning she's not entirely sure that she should return to that position. but i think the real goal here is to make certain that she, if anyone, is not harmed by this terrible mischaracterization and misuse of her story. >> we've heard a lot of rush to judgment, lot of people saying out of context, rush to judgment. we see this a lot, especially when it comes to issues surrounding race. first i'll ask you about the naacp, then i'll ask you about breitbart. what does it do to the credibility of the naacp for coming out so quickly in condemnation here, perhaps rushing to judgment as they now

admit, then having to do a 180? >> kiran, it's a great question, but i thinkly think the naacp is stronger because of this story. first, put this in context. what you saw is an organization that has a policy of no tolerance for racism. feeling especially sensitive to the issues having raised questions about the internal bigotry within the tea party movement, not accusing individuals but saying that the movement tolerated a certain amount of bigotry which was evident from speeches and films we had seen. the naacp i think overreacted perhaps at least initially out of sensitivity to the fact that as an organization it, too, is subject to the same standard. you measure civil rights by a single yardstick. i think that's what the naacp did. >> when they threw her overboard without knowing the full story and are you really promoting the issue of civil rights and fairness if you're willing to do that? >> john, i think they admit that they were snookered by the information available to them at the time. but i also think they erred on

the side of attempting to condemn what they thought was an example of bit gotgotry. they learned that was not the case, they stepped forth very quickly and apologized to miss sherrod and made this, i think, a very important example of why the kind of thorough investigation that i think cnn has done and now others has contributed to a positive view of this issue. so no, i don't think they're harmed by it, i think they're strengthened. now as for andrew breitbart, i think the use of a tape like that of miss sherrod's speech and editing it such that you intend to create a misinterpretation of racial bigotry where none exists needs to be condemned for what it is. it is a political manipulation of what of the most sensitive issues in the american debate. >> my question about breitbart, not just him but in terms of exposing real racism on both

sides when it happens, how does this change our national discourse, if it does, both about being open and being able to discuss racial issues without fear of this happening on either side, but also with exposing real racism? >> yeah. yeah. kiran, that's a very good question. i mean i think, as you know, a few months ago attorney general eric holder framed this issue as america, a nation of cowards, because of its fear and hypersensitivity about discussing race, which we know to be the most sensitive issue in american history. i think that this shirley sherrod incident is a cautionary tale about how issues of race injected into the public debate need to be handled with care. it should not, however, discourage americans from talking about an issue which is at the heart of some of our most difficult policy decisions. and i think that this story

actually contributes to a better degree of racial understanding and the complexity of the issue. i think if we handle it with sensitivity and care, i think we can make this a teachable moment for all americans. >> perhaps part of the teachable moment is for all of us to take a pause when we see something, get the full story before we react. wade henderson, thanks. still ahead, top-secret america. it is "the washington post" special two-year-long investigation and today they are focusing on entire secret intelligence communities. all across america. possibly right next door to you contributing billions to the local economy but you'd never know it. the "post's" william arquette joins us next. r ] new neutrogena® clinical skincare. exclusive ion2 complex combined with activating cream helps restore collagen depleted skin. neutrogena clinical skincare is clinically tested to undo the look of a year's worth of skin aging in just 4 weeks.

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in santa barbara ban neighborhoods across the country, intelligence workers go about their top-secret business though no one really knows the nature of their work. the economic impact on the community is clear. this morning "the washington post" wraps up its three-part national security investigation looking at life in an actual intelligence community. william arcen was 1 of 2

reporters on the series and joins us this morning from washington. good to see you this morning, bill. you talk more about these communities. you focus on an area ft. meade, 250 countries there, top-secret buildings and top-secret activity. this is a place that contributes billions to the local economy. what's life like in those places where no one knows what everybody else does outside the intel community in. >> we've described what we call an alternative geography of the united states where main street is this 20-mile ring around ft. meade, maryland which is north of washington, d.c. and within that area virtually everybody works for or is connected to the nsa or some other intelligence community, and in street signs that are in the medians of roads, as you drive through it, rather than it being houses for sale, it's cleared job fairs and other kinds of top-secret activities. i mean the people who live there

are sort of all aware of the fact that this is a hub of the intelligence establishment, but to the rest of america, places like ft. meade, aurora, colorado, tampa, florida, san antonio, texas, those places might be represented to them as the alamo and yet in reality, they are something completely different when one scratches the surface. >> for the conspiracy theorists, it is a quite interesting read. you talk about what happens to your gps in a car, let's say, when you get close to the nsa, the national security agency. you sort of start getting put in these incorrection directions, a series of u-turns. it is fascinating what you reveal about how little we know about what really goes on there. >> hopefully we've made some foundation here so that we can have greater knowledge of what has happened to the u.s. government in this national security field since 9/11. i think we do a pretty good job and a balance between both preserving national secrets, as

well as at the same time giving people enough information for them to make a decision about whether or not what has occurred since 9/11 in the past decade is the best bang for our buck and also the most effective. these communities and this entire world of top-secret america is just so out of view and we all know, as we do when we work in washington, that that combination of secrecy and bureaucracy is just deadly. >> right. but it also is a double-edged sword. it's supposed to be out of view. for national security purposes, is there some element of compromise by people who would seek to do us harm knowing about this? >> we've seen this in every espionage case over the last three deck kiades that people w have access to classified information are the ones themselves who are the greatest threat and limiting those number of people and adequately and properly classifying information is really the government's

biggest task and what we've seen since 9/11 is just this explosion of top-secrets where everything from the department of agriculture all the way up to the cia has to now do work at the top-secret level in the counterterrorism world. and clearly that is just not the way to preserve secrets. so say that the "washington post" is the one that is making a problem with this is really absurd. i mean everyone we spoke to on the record, secretary of defense gates, the cia director leon panetta, even the under secretary of defense, general clapper who was on the hill yesterday to be confirmed as the director of national intelligence, agreed with us that the system had just become too large and too unmanageable. and if one is really concerned about national security, one has to just pay attention to the fact that the only way we're going to bring this under control is close scrutiny and cut back. >> your article also highlights some extreme lengths that they go to to ensure secrecy and

safety and make sure this is happening. if you're one of these contractors who's getting paid an living in these areas that has top-secret clearance, as you write in the article, you have to submit to very strict intrusive rules. you take lie detector tests routinely. you have to sign all types of forms, file lengthy reports on overseas travel. it is also interesting they're coached on how to deal with nosey neighbors for example or curious friends, and in some cases coached to assume false identities. what is theness effect on the community and family members of these people? >> anyone who's ever lived in the washington area knows that there is a neighbor down the street who works for "the government." and so this is something that might be second nature to those in washington. but in the rest of the country, where much of the system has expanded into communities that were not traditionally military communities, it does fundamentally change. but look, let's be clear about something. counterterrorism is not a jobs program in the united states and people who work in this world

feel a bit of bullet-proof to the economic downturn. top-secret america is doing very well today, and because it's doing very well, one has to ask the question whether or not we should rely upon the very people who are profiting from this to also tell us what the problem is. so they are in charge of both saying this is the threat, and at the same time they are in charge of deciding what needs to be done in response to it. to me, that's a bit of a corrupt system. so it's a bit like the three stooge rat catcher episode where the three stooges are rat catchers a and to drum up business they knock door to door and tell people there are rats in their basement. i need that we need to take a really hard look at what government has done in the national security field since 9/11. and if secrecy is the biggest impediment to adequate and effective oversight of our national security, then i think

"the washington post" has done a real service. >> we'll see where it turns out. those hearings are happening on the hill as we speak. bill arkin, great stuff. thanks for joining us this morning. there is a storm brewing in the caribbean. it's right around the area of puerto rico. it may be headed for the gulf of mexico. we've got news on this as well as your travel forecast coming right up with jacqui jeras. stay with us, 49 minutes after the hour.

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a quick check of the morning weather headlines with jacqui jeras. we have some stuff over the caribbean, i can see. >> you know, a little bit of good news with this, though. this has become much less disorganized in the overnight hours. a lot of the convection, the thunderstorm activity, has dissipated here over puerto rico. that's a little bit of good news. the national hurricane center has lowered the probability a little bit of the developing today. it still remains in the high can a goer at 60 perz. they decided to postpone their planned trip with the hurricane hunters to fly into this and thinking they will do it tomorrow as conditions may become more favorable. we have a lot much wind shear or stronger winds ahead of the system and that's why it is going to have a hard time developing. as it heads closer to the about a hamas and towards florida, we could see it starts to develop and turn into something.

we are looking at the models bringing it towards the gulf of mexico. we don't expect this to be a terribly strong system. at least not in this time. keep in mind it still hasn't developed. if you remember with alex, it didn't take a terribly strong storm near the oil spill to cause problems and stop some of the skimmers. we will be watching that closely. back near the lower 48 for today. looking at showers and thunderstorms focused along the station airy front here. that will con to be a big story right through the rest of the week. we are also monitoring the northeast while we have a few spotty storms now. we are expecting severe thunderstorms to develop later today. if you have travel plans, expecting a lot of delays here. also problems in denver and phoenix due to thunderstorms and wind. then also san francisco and seal, low clouds and fog. the heat continues, guys. just can't get rid of it across parts of the south. looking for temperatures well into the 90s once again. and if you are looking for a cool place, try argentina. south america has been having a

record cold snap as well as the worst snowstorm in 30 years. >> was this the hottest june on record? >> globally this was -- yes. it was the warmest june on reco record. try to tell that to people in south america. >> this morning's top stories minutes away. including race and politics. instant reaction and now some back pedaling this morning. all of it adds up to a firestorm in washington. could the obama administration and democrats pay politically for something a conservative activist started? the latest fallout from the shirley sherrod controversy. how some people are saving up to two-thirds of what they make each year. even in this economy. how you could, too. talk about the eligible for an upgrade. how one teen started with an old cell phone and ended up in that porsche.

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towns in china. more than 700 people are dead. there is a look at flood gates. the three gorges dam. the world's largest. in sichuan province, one town is seeing the worst flooding in 160 years. hundreds of thousands of people had to be evacuated. there is an amazing firsthand look on the scene. >> reporter: these people have been yelling out for help. they want somebody to come and help them. get three people. preferably someone elderly, bring them down. debt and will get them out of this area. there are people just waiting over here. you can see them. they are calling us over. they want some help. they want to get out of this part of the city. obviously the water, there's no power in here. there's no clean water. a lot of the infrastructure has been damaged. everything here is under water. it is muddy. debris. god knows what in the water.

sewage and all sorts of diseases as well. it looks like this is not a healthy situation for a lot of the people to be in. this is one of the biggest problems they will have as the water recedes, deal with disease and -- bunch of other issues here. >> pretty extraordinary pictures for us. top stories coming your way in two minutes. stay with us. well, we have this incredible system. paid invoices go right here. that hasn't been paid yet. what? oh. there's a better way to run your business. try intuit quickbooks online for free.

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those guys are getting it done. good morning to you. it is 8:00 in new york on this wednesday, july 21st. glad you are with us. the whole truth. tom vilsack saying he will take another look at the facts surrounding the decision to get rid of department official shirley sherrod. a woman who lost her job over comments that sounded racist if taken out of context. the naacp saying that it was snookerred at first but now heard the whole tape and has done quite an extraordinary 180 on the whole thing. there are concerns about the stability at bp's ruptured we.

that's because it is leaking oil in five places. raising some concerns that perhaps the pressure is building. just to make things a little more nerve-racking, a storm may also be headed towards the gulf in the next couple of days. two too broke to retire. a situation a number of americans are -- tens of thousands of americans find themselves in. so what can you do now to make sure that you can afford your golden years? we have the secrets to super-saving. the a.m. fix blog is up and running. go to cnn.com/amfix. first, a stunning twist in a story that's once again brought the sensitive state of race and politics to the surface in this country. it now sounds like agriculture department official shirley sherrod may be offered her job back. 24 hours ago when she was first given the chance to defend herself on this program, many people were branding her a racist after a conservative website released an edited tape

of comments that she made back on march 27th. >> now agriculture secretary tom vilsack says he will review the case after the full tape and whole truth came out. the department wasn't the only one quick to react. the naacp has also now apologized to sherrod saying it was snookered by fox news. earlier on "american morning," shirley sherrod joined us again. we asked her how it feels to be treated like this and whether she could ever work with the department again. >> it hurt even more for the naacp to condemn me especially when you look at my life's work. you know. i have been out there for 45 years. you know, working for justice. and to have an organization like the naacp condemn me, you know, so quickly without looking into the facts, was very hurtful.

>> if the agriculture secretary were to come to you and say we would like to have you back, what would you say? >> you know, i'm just not so sure at this point. i really wonder -- in light of how i was treated over the last two days, just what that relationship would be like for the future. can they move beyond this? >> andrew first posted the tape on his website and told john king last night releasing the video was not about trying to get shirley sherrod fired. it is about the naacp attacking the tea party. >> this is shirley sherrod trying to save her job when her problem is with vilsack and the usda and the naacp both which rebuked her and forced her to leave her position. >> i think she has legitimate questions, as do we. for secretary vilsack, the naacp, agriculture department and perhaps even the obama white house, but did you reach out to her when you posted this to ask

hervey this tape and i think it shows what you believe to be damning or questionable conduct. did you reach out to her and say what incident are you talking about? >> this is not about shirley sherrod. this was about the naacp attacking the tea party. and this is showing racism at an naacp event. i did not ask for shirley sherrod to be fired. i did not ask for any repercussions for shirley sherrod. they were the ones that took the initiative to get rid of her. i do not -- i think she should have the right to defend herself. what you see on the video are people in the audience at an organization whose sole job is to fight against discrimination and they are applauding hero variety racism that she is representing. >> shirley sherrod says it wants racism at all. it is a story of how a woman got over racism. a story of redem. >> on the surface it looks like it is conservative bloggers' mess to clean up.

could this end up being a major headache for the obama administration? joe johns joins us live from washington with more on the potential political fallout of all of this and was interesting because yesterday shirley herself said she felt it was the white house who told vilsack and the department of agriculture she had to go. >> well, the white house is saying no. i mean, we did back channels all day yesterday. pritd i consider clear the white house was saying we are hands off and vilsack took full responsibility for it. and his decision he apparently jumped the gun. politically sure, there are issues. a midterm election approaching. we have this back and forth, sort of unrefined conversation about race going on between the tea partiers on the one hand and the naacp on the other hand. and you know, it raises a bunch of questions in this country. the first one is did anybody really think that this was post-racial america?

you know, that's the first thing. how is that going to affect the midterm elections? i think thatting the second one is a continuing theme that democratic activists and others have expressed concern about with this administration and as the issue of decisiveness and ability to move forward with the decision and do the right thing on sort of short notice without getting it all screwed up. and once again, we have seen an example of this apparently with the shirley sherrod situation. although it still hasn't all played out just yet. >> it also appears to be, joe, a case of making a fairly major decision without having all the facts in hand. >> right. right. which is kind of remarkable because, you know, when you look at -- an important administrative decision, the most important thing the president's people have to do is explain the reasons in a cogent

fashion and show that they really looked at all of the facts. this is an example where they didn't look at all the facts because they didn't have the whole tape. when they got the whole take, they started see saying well, this is something completely different from what we thought originally. it turns out that this was -- the example that was taken out of the tape was just part of a large perfect story she was trying to describe. her own journey towards, you know, a different kind of racial consciousness. then you see in the old south. so that's a problem for the administration because they have to -- the you have to think about things before you do that and everybody knows that. >> we will see what happens today. there's sure to be other developments. joe johns in washington. also new this morning, 19 people arrested, including the head of north carolina's naacp chapter on the day of a tense racially charged school board meeting.

police started to arrest a school board member in the confusion before they realized it was a mistake. the protesters came out against the board's vote to scrap a policy of bussing students to promote diversity in schools. critics called the decision resegregation. officials in utah say they fired one temporary state employee and another full-time worker will soon fall. they are believed to be the people that put together a list of 1300 people accused of being illegal immigrants. the list which included extremely personal information including going so far as to -- dates of birth for pregnant women, sent out to government offices and the media. officials say they cleared 800 employees. at least 21 people were taken to the hop after a united airlines plane hit severe turbulence on its way to los angeles. the city officials say the people were treated for head, neck, back injuries. at least one person was seriously hurt. the jet took off in d.c. and

landed in denver around 9:30 eastern last night. the faa says inspectors will investigate. shy of ten minutes after the hour. quick look at the weather forecast and jacqui jeras in atlanta for us. good morning. >> hey guys. the airports will be busy again today because of thunderstorms across parts of the midwest. as well as the northeast. the chance of some of those -- thunderstorms becoming severe pretty likely. especially late this afternoon and into the evening hours. you can see the big picture in the areas highlighted in red of concern. it does include places like denver, over towards omaha, des moines, kansas city as well as cincinnati and pits sxwurg philadelphia, new york city, and boston. south of this front we are going to see that he continue when we have the cooler air to the north, warmer air to the south and storm systems tracking from west to east. we tend goat thunderstorms developing in those same areas and that means the flood threat is very real once again today. there you can see the high temperatures well into the 80s and 90s. heat advisories still for about

the south eastern quadrant of the u.s. and it will be feeling like triple digits. we are tracking the tropics and an area of disturbed weather moving up towards the north and west and heading towards the bahamas later on today. we have lowered the chance of this turning into a tropical depression today. still over looks likely over the next 48 hours or so. this could be potentially be making its way towards the gulf of mexico and certainly a system we will be watching over the next couple of days. we had rough days at work. the coffee just won't take. maybe your allergy medicine left with you a fuzzy head. >> there's whoopi goldberg who slurred her way through a live taping of "the view" this week. she admit she was sedated for an international flight before the show and talked about her fear of flying for years. >> i'm -- welcome to a day of

hot topics right here on "the view." i'm still sitting up straight. this morning, it is being reported she -- >> well, all we can say to that is -- >> i'm sure her co-hosts were very amused by that. >> what's not to be amused about? that's pretty good. >> i hope whoopi is feeling better today. she goes on in three more hours. cnn exclusive access. the oil disaster being fought from the air and water. working in tandem actually to find areas where oil needs to be skimmed. we are going to show you how this skimmer operation works firsthand with rob marciano. i just told him, do your best. build a car you're proud of.

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16 minutes past the hour with millions of gallons of

crude oil in the gulf of mexico. crews are faced with a cleanup mission unprecedented. made worse because of the high temperatures now. there is an oppressive new weapon to fight the spill that's at their disposal. >> it is a blimp. cnn and cnn viewers have been granted exclusive access to get onboard and have a look at things from about 500 feet above the gulf of mexico. rob marciano and amber lyon take us inside a tag team cleanup operation that's now under way in the gulf. >> reporter: we are just pulling up to the coast of the gulf shores, alabama. because the blimp just glides across the water, these guys have a great viewpoint. when they spot anything wrong, they tell the pilots who then radio down to that vessel there, rob marsian so on that. >> reporter: we are on the lead strike team vessel heading out into the gulf of mexico to work with ten other vessels of opportunities that are skimming out there and that that blimp that will help. it is going to be -- quite an

experience. scott mcbride with me. you were on the horn getting information. what can you tell us? >> what's happening here is the air ship is conducting a search pattern, flying approximately 22 knots. what's going to happen is -- it flies at a thousand feet. once it spots oil, lit descend to 500 feet to get a closer look. >> where are we headed? >> we are going in. skim hers a report from medium to light oil. we are going to go there and find it. these guys are picking up oil right here. the skimmers. >> there is a little light sheen reported on the water. and that's guys cleaned it up. >> reporter: looking at boom. will is a boat down there laying that to protect the beautiful white sands of gulf shores, alabama. they have a book that shows what they are looking for. there's names for all these kinds of oil. medium oil there, light oil.

we even have what's called a stream streamer. >> we were going to continue westbound a half mile off. meet up with the group. >> all right. copy that. >> reporter: the workhorse of the coast guard search and rescue operations and we are hopping around. give us yet another vantage point of how all this is coming together. >> reporter: what's most evident about the effects of the oil spill on the coastline is look at these beaches. normally they are packed with tourists. and you are just seeing empty lawn chairs and umbrellas. >> you are going to see a lot of sharks pushed up. what's happening is the bait fish are coming closer to shore because of all of the oil. all of the sharks, i mean, we have seen 100-plus sharks at one time. i have never seen that in my entire life. >> reporter: the latest weapon in the arsenal to battle the oil, there's the air ship heading back to land.

seas are getting way too rough to do any effective skimming. at least for today skimming operations have ended. >> we just wrapped up day 12 of testing this blimp. there's about two weeks left and the coast guard will decide if they want to send it out into the field to hunted for oil permanently. >> joining us live from the gulf shores, alabama. you know, after being up there for most of the day, what kind of advantages did you find using the blimp as opposed to other aircraft like a plane, helicopter, something like that? >> well, i would say the most evident advantage is the blimp is a greener way to clean up and spot this oil. and if you compare it to the more traditional things they have been using, a blimp uses 10 gallons of fuel an hour. helicopter, 150 gallons. a blimp can stay out over the wattber 10 to 12 hours at a time. a helicopter has to return to port to refuel every 3 1/2 hours

or so. >> talking about what it is like on the ground. rob, how rough does have it to get for skimmers to not be able do their jobs effectively? ski this because we are looking at the possible development of a tropical system hit that area. >> yeah. all eyes are on that disturbance outside of puerto rico. yesterday seas got to four, five feet and that was enough for them to shut down. we were probably out there an hour or two longer than they would have liked. obviously white gets more rough, the waves will crash over the boom that's collecting that oil and skimming it. that's the frustration as well. that thing is developing. it looks a little bit more disorganized this morning. jacqui jeras will be talking more about that. if it develops into something it may very well head into the gulf of mexico and getting into prime time hurricane season. the next few weeks will be critical. >> good job to both of you. fascinating look at how this is looking at tandem.

thanks so much. i want to tell people about a programming note as well. rob marciano has been in the gulf for three months. most of the time. his special report "rescue saving the gulf" is air thing weekend. rob will take you inside the largest most ambitious cleanup job we have ever seen in this country. one that is sure to last for years. saturday and sunday night at 8:00 eastern. only on cnn. you may find it difficult to put away even just a little bit of money every week or every month saving for your retirement. what about people who save as much as close to two-thirds of their income? we are going to give thank you secrets of extreme savers coming up. listen up, people, volkswagen is at it again with their autobahn for all event. it ends soon. they got great prices. cars built for the autobahn. people are gonna be driving crazy in the jetta... ...the routan, and the cc. that cc is gorgeous. that jetta is awesome. my wife loves her new routan. and they all come with that carefree maintenance. scheduled maintenance included.

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♪ ♪ send an sos ♪ get some cash out >> 24 minutes after the hour. minding your business this morning. here's something to think about. how big is your nest egg? new survey shows a large percentage of baby boomers are at risk of not having enough monday jaifed for retirement. the money will run out long before the years do. so what can you do now to upgrade your nest egg? profiling extreme savers for cnn.com and joins us now. these people seem to do the unbelievable. >> these thoeks are amazing. the super savers, extreme savers. saving 20 to 60% of their take-home income. >> we have three people we will profile. eddie haskell. debbie class teen from liberty, missouri. >> this is a lovely couple.

they are outside of kansas city. they have been saving more than 50% of their take-home income the 20 years they have been married. but ed has been doing this even back into his 20s. he had a goal of retiring early. the big key to their success has been avoiding debt. this is a couple that waited until their mid 30s until they bought their first home and bought it with cash. $105,000 townhouse. they bought their second home for $200,000, all in cash, in 2001. and this has been terrific for them. they have been able to save so much money that ed actually retired ten years ago. he does a little teaching and consulting. no debt. lot more to save. you are not paying interest to other people. >> they are not bringing in millions of dollars. he is a retired air force officer and she is a college professor. >> these are people on relatively -- not the wealthiest people in america. these are people very smart about their savings. >> second example for us from atlanta, georgia. tiffany murray. tell us about tiffany. >> she has a terrific job. she makes a nice salary herself. she works in recruiting for a

big consumer products you don't know tonight atlanta. she really wants to field her savings and has a goal of retiring early. she is in her early 30s now. saves more than 25% of her income and creates multiple streams of income. she loves to do event planning. she actually creates extra -- does work for up to $25,000 a year. she saves more than 25% of her income this way. >> here is something else she does. my sweetheart could take a note from this. she clips coupons. it is not a bad thing. >> her friends call her -- an extreme safer. she calls herself a smart spender. she is not shy about using coupons. she is a mystery shopper. she will stay at hotels and write reviews on her stays and in exchange gets reimbursed for the stay. >> can anybody do that? >> you have to sign up and read a couple of screening tests. yes, you can do that. >> okay. third example. alexandria, virginia. march. >> this is another lovely couple. they are both in their early 40s.

they save more than 60% of their take-home income. they make a decent income. >> how much? >> more than 60% of their take-home income. >> 60%? >> how do you do that? this is something we can learn from. they live below their means. they live in a 1700-square foot townhouse with their two children. they can afford a much larger home. they could afford, you know, a bigger place. we don't want to do that. they are on track to retire by the time they are in their 50s. >> that's amazing. what are the lessons here we can take from all of this? >> an important lesson is to think about savings. set a goal for savings. the real key when you set a goal, you are more likely to reach it. the real key is to be concrete about the savings. i interviewed a number of behavioral finance researchers and said families that actually labeled their savings account with their children's name for their college fund doubled their savings after they put their child's name it. set a goal and make it a

concrete goal. you feel a lot worse tapping into suzy's tuition account than you would having money in a bank account. >> track your spending. >> it is like dieting. you would be shocked if you wrote down everything you aetd, how much you eat. if you write down everything that you spend, you get -- identify what your spending leaks are. a number of the super savers i spoke to do this. it helps them figure out where they can save more. >> don't be afraid to cut coupons either a great website called coupons.com. >> i have to bookmark that. great to see you this morning. we are talking tea party. the caucus with big questions about which members of the gop are embracing it and which are no.

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half past the hour. time to check the top stories. secretary of state hillary clinton announcing new sanctions against north korea. the sanctions will freeze assets and attempt to block pyongyang from buying and selling weapons. secretary clinton and defense chief gates are in seoul meeting with south korean officials. day two of british prime minister david cameron's u.s. visit. the prime minister met with president obama yesterday and said he can feel our pain over the bp oil spill. >> i complete lip understand the anger that exists right across america. the oil spill in the gulf of mexico is a catastrophe for the environment, fishing industry, tourism, and i have been absolutely clear about that. like president obama, i have also been clear it is bp's role to cap the leak, clean up the

mess, and to pay appropriate compensation. >> cameron travels to new york city later today for meet wings u.n. secretary general moon and mayor bloomberg. >> tom vilsack saying he will reconsider the facts surrounding the decision to get rid of shirley sherrod. a woman who many branded a racist. threw under a bus because of an out-of-context sound bite. she spoke to us about the knee jerk reaction of the tape. >> apparently they never really looked at me. i didn't make a lot of noise. i just worked since i have been at the agency. and i worked for fairness for everyone. i worked for access. for everyone. at the georgia rural development office. >> the naacp also fist condemned sherrod but now says it was snookered. this morning the tea party goes under the big tent. the newly mended congressional

tea party caucus holds its first official meeting just about a half an hour from now. >> prominent republicans are onboard but others are not. jim acosta is live in washington with the story. the tea party has been in the news lately because of the dustup with the naacp. >> that's right. this should come as no surprise this is forming because a lot of republican lawmakers appear at tea pear rallies and the new tea pear caucus is growing fast. members are holding their first meeting later this morning. and just like the tea party itself the leader of the new caucus is no stranger to controversy. >> we can't afford -- >> reporter: the tea party does haven't to protest outside the capitol to get its message across the the growing political movement has its own organization or caucus inside the house of representatives. the leader of the new tea party caucus, michele bachmann of minnesota says her group will routinely sit down with ordinary americans who she says want

their country back. >> i think it is going to be very interesting to listen to what real doctors and real house wives and real farmers and real small businessmen have to say. they live in the real world. >> reporter: the tea party caucus message of low taxes and small government has already lured about a dozen gop house members. including indiana's mike pence. >> i'm proud to be a tea party endorsed candidate for re-election. i was honored to join the tea party caucus. >> reporter: the caucus comes as the movement faces a big test. the naacp is accused tea party leaders of tolerating racist behavior at their rallies. in one tea party leader mark williams was ousted from the movement after he posted a racially charged commentary about the naacp on his blog. booting williams, pence says, was the right call. >> when we see people in organizations over which we have influence, that engage in rhetoric or commentary that's offensive to the american people, it is important that we speak out against that.

>> tea party needs to police its own? >> i believe they are. >> reporter: bachman says tea partiers have been victims of offensive attacks. she points to congresswoman sheilah jackson lee's comments at a naacp event. the texas democrat compared tea partyiers to members of the kkk. >> being able to walk down the aisle and speak as a patriot because you will not speak loudly about the lack of integrity of this movement. >> when we called jackson lee's response, an aide said she was unavailable. >> that's a highly offensive statement to make. >> reporter: as for bachmann's take on the controversy surrounding the tea party movement -- will you not appear at any more of their events? >> that's really not the issue. tisch sue what are we going to do at congress at the tea party caucus and what we will do is invite real people in, listen to them, get their great ideas out. >> as a sign of the new influence this tea party caucus

is already being taunt bid democratic leaders, house majority leader steny hoyer says he is anxious to see how many republicans adopt the tea party agenda. bachmann notes it is open to democrats, too. i'm not sure she should hold her breath at this point. >> it is always -- in washington proximity equals power. so now that they are inside the halls of congress, expected to have even more influence? >> that's right. and, you know, there are rumblings inside the tea party movement they are not too excited about because when you talk to tea party leaders, this is what they don't want. they don't want to be inside the halls of power and don't want to be corrupted by the people who were in power. they like to be on the outside keeping, they say, the people who are in power in check. it will be interesting to see how this develops and on the senate side you have paul running for the senate in kentucky and would like to see a tea party caucus in the senate. you can't have that kind of caucus in the senate. but you know, it is not going to be a big surprise if he gets in

to find like-minded republicans to organize with him. >> did you also find michele bachmann condemning mark williams and controversial statements that led to him being ousted by the federation? >> you know, i asked her about that. and she proceeded to point the finger at sheilah jackson lee and that comb that sheilah jackson lee makes in our piece. you know, i asked her, is she going to stop attending tea party express events, is she concerned about some of the signage out there. she said well, her priority right now is to get the caucus up and running and didn't want to talk about it. >> nonanswer on that issue. >> nonanswer on that. that's right. >> jim acosta for thus morning. thanks. the top secret business of our intelligence community. a look at life inside one of them. pumps billions into the local economy. does anyone really know what's going on? viewers weighing in on the shirley sherrod controversy. we will read some of your comments after the break.

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it is like a scene out of "star wars." the navy announcing it has successfully used a laser to shoot down four unmanned drones. the controlled test goes to california. marks the very first time a laser has been used effectively to take out a moving target. >> technology was developed by the raytheon corporation. it is not going to be ready for combat they say for a few more years. raytheon spokesman calls the successful test, quote a good

day for lasers and a bad day for drones. >> fire the laser. the secrets next door across the country, top secret intelligence communities, transformed many areas giving a big boost to some local economies. >> earlier on "american morning," we spoke with "washington post" reporter bill arkin about the investigation by the paper which reveals how little we know about what's going on in the communities. >> it made some foundation here so that we can have greater knowledge of what has happened to the u.s. government in this national security field since 9/11. i think that we do a good job and a balance between both preserving national secrets as well as at the same time giving people enough information for them to make a decision about whether or not what has happened since 9/11 in the past decade is the best bang for our buck and also the most effective. >> "the washington post" series is a two-year investigation.

we have been covering the story of shirley sherrod, the u.s. department of agriculture official who was fired. because of what appeared to be a heavily edited piece of videotape racist comments she made at an naacp meeting in march. here's what scott writes us this morning. the naacp saying it was originally snookered by all of this. the american public a large are the ones being snookered. if aisle is an addiction we must kick, so is youtube. the stories are a perfect example we are a reactive combustible society. more interesting in the heat that the story generates than any potential light it may shine. >> carl writes -- ai appreciate cnn's news about coverage of the naacp discrimination. my heart goes out to anyone falsely accused of discrimination by narrow-minded high-profile editors and bloggers. i want to -- 99% according to our buddy derek who man it is blogs said they were mostly in support of shirley.

there was one that disagreed. i saw both versions of the video and i was dishardened to see she used class struggle in her speech. >> lot of interesting zbloemts we love for you to weigh in as well. head to the site at cnn.com/amfix. tropical action in the atlantic. very troubling as to where the storm if it turns into one may be headed. jacqui jeras is tracking it for us.

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♪ good morning. nashville, tennessee. waking up to mostly cloudy weather outside. 81 degrees. little later, 93 for a high. some thunderstorms in your forecast. brad paisley as well. >> jacqui jeras tracking the extreme weather for us across the country. flooding in parts of the nation and potential storm brewing down in the caribbean. what's up? >> yeah. little bit of good news in that storm system didn't organize itself overnight. a lot of the thunderstorm activity quieted down. hurricane hunters decided they will not fly into this system today. they are going to wait until tomorrow when it has a better chance of getting organized. we are still watching and waiting to see how this will

develop. the computer models a good consensus bringing it towards the bahamas tomorrow and potentially into the gulf of mexico. a lot of wind shear here and lot of obstacles in its way. we will have to wait and see as the thing really continues to progress. let's talk about some of that flooding. amazing pictures and high water in parts of arizona from yesterday afternoon. wildfires burning in the area. torrential downpours as the monsoon season has kicked in. one 12-year-old girl, unfortunately, was killed in the rising water. we have also had a number of rescues take place just in the overnight hours in parts of kentucky. northeastern kentucky and west virginia has seen high water rise through the overnight hours as a result of heavy rain consistently here over the last couple of days. we will be watching other parts of the country today, guys, for heavy rain and severe weather. particularly the northeast can see nasty thunderstorms late this afternoon and those temperatures just, you know, baking. really a long time and,

unfortunately, no big breaks for the heat in much of the south. >> we can feel it up here as well. jacqui jeras, thanks so much. trading up. how this 17-year-old craigslist swapper got an old phone and ended up turning into the sweet ride of a 2000 porsche. how did he do it?